Microsoft has recently announced that it has recently struck another advertisement deal with Digg.com. The agreement between the companies will help Microsoft to become the exclusive provider of display and contextual advertising on the widely read site. The nature of agreement is probably same as Microsoft inked with Facebook last year. Besides the revenue, Microsoft hopes that the alliance with Digg will also help Microsoft to improve its approach towards advertising. Financial terms and condition has not been revealed to the media yet.
Following the agreement, Microsoft will come into a position to replace Google’s advertising system in some capacities. However, Digg is likely to maintain working with Federated Media on sponsorships and specialized ad campaigns. But, even in this case, the deal can be considered safely as a big blow to current Digg ad partner. At the same time Microsoft has stated, ‘Microsoft and Federated Media Publishing, Digg’s current advertising partner, plan to collaborate to bring integrated programs to Digg’s users and advertisers.’
In fact, Digg aims at strengthening its advertising revenue with the newly forged association with a new, big partner, Microsoft. The software firm and Digg, the popular content aggregation and rating site, have announced the agreement to work in partnership to bring relevant advertising to Digg’s over 17 million unique monthly visitors.
According to the terms of the deal, the alliance has been struck for at least three years, when Microsoft will be the exclusive provider of display and contextual advertising on Digg. The two firms have also agreed to work together on future technology and advertising initiatives.
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